Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

4 Problem 2-31 (Algo) (LO 2-4, 2-5, 2-6a) 25 points Allerton Company acquires all of Deluxe Company's assets and liabilities for cash on January 1,

image text in transcribed

image text in transcribed

4 Problem 2-31 (Algo) (LO 2-4, 2-5, 2-6a) 25 points Allerton Company acquires all of Deluxe Company's assets and liabilities for cash on January 1, 2021, and subsequently formally dissolves Deluxe. At the acquisition date, the following book and fair values were available for the Deluxe Company accounts: Values eBook Current assets Building Land Trademark Goodwill Liabilities Common stock Retained earnings Book Fair Values $ 60,750 $ 60,750 98,750 51,550 10,500 24,700 0 32,900 19,750 ? (54,750) (54,750) (100,000) (35,000) Print References 1&2. Prepare Allerton's entry to record its acquisition of Deluxe in its accounting records assuming the following cash exchange amounts: $149,000 and $89,500. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 > Record the acquisition of Delex assuming the cash exchange of $149,000. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Record entry Clear entry View general journal 4 Problem 2-31 (Algo) (LO 2-4, 2-5, 2-6a) 25 points Allerton Company acquires all of Deluxe Company's assets and liabilities for cash on January 1, 2021, and subsequently formally dissolves Deluxe. At the acquisition date, the following book and fair values were available for the Deluxe Company accounts: Values eBook Current assets Building Land Trademark Goodwill Liabilities Common stock Retained earnings Book Fair Values $ 60,750 $ 60,750 98,750 51,550 10,500 24,700 0 32,900 19,750 ? (54,750) (54,750) (100,000) (35,000) Print References 1&2. Prepare Allerton's entry to record its acquisition of Deluxe in its accounting records assuming the following cash exchange amounts: $149,000 and $89,500. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the acquisition of Delex assuming the cash exchange of $89,500. Note: Enter debits before credits. General Journal Debit Credit Transaction 2 Record entry Clear entry View general journal

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Microfinance

Authors: Gianfranco A. Vento, Mario La Torre

4th Edition

1403997896, 9781403997890

More Books

Students also viewed these Accounting questions

Question

What do their students end up doing when they graduate?

Answered: 1 week ago

Question

What penalty (if any) should Foster receive?

Answered: 1 week ago

Question

=+1. What is the schedule for this project?

Answered: 1 week ago